Russell Young to Messrs. Russell & Co, November 25, 1882

Mr. Young to Messrs. Russell & Co.

Gentlemen: On October 21, I acknowledged your letter to the legation, dated October 18, proposing the formation of a new submarine cable company in conjunction with other foreign houses, and asking me to obtain the necessary permission so to do from the imperial authorities. I had a conference with the representatives of Germany, France and England, and we united in a dispatch to the yamên asking that your request be granted, which was presented on the 24th of October.

On the 31st of October Prince Kung replied, declining the required permission on the ground that a monopoly had been granted by the viceroy Li Hung Chang to the Great Northern Telegraph Company for the period of twenty years. His highness claimed that in doing so the Chinese cabinet had followed the example of western powers, notably Russia and France.

On the 14th of November the legation again addressed the yamên in a long dispatch, claiming that under our treaties such a monopoly was void, and also showing that the terms of the concession to the Great Northern Company were in the highest degree injurious to the best interests of China, and that no western Government would allow any private company a franchise so comprehensive, irresponsible and vast. We claimed that under the treaties the monopoly was void.

To this dispatch no answer has been received. My impression is that the subject has been referred to the viceroy at Tien-Tsin.

I write this to acquaint you with the state of the business intrusted to our care. I can express no opinion as to our success, although I am quite hopeful. The temper of high Chinese officials in some recent dealings with foreigners does not encourage us in hoping for much sympathy with western interests. But the discussions between the yamên and the foreign legations cannot end without a recognition of our rights so complete and absolute that merchants like yourselves, in the legitimate pursuit of commerce and industry, and under the protection of treaties, will hereafter have no trouble.

I am, &c.,